Correlation Between Jbfo Fof and Hsi Logistica

Can any of the company-specific risk be diversified away by investing in both Jbfo Fof and Hsi Logistica at the same time? Although using a correlation coefficient on its own may not help to predict future stock returns, this module helps to understand the diversifiable risk of combining Jbfo Fof and Hsi Logistica into the same portfolio, which is an essential part of the fundamental portfolio management process.

By analyzing existing cross correlation between Jbfo Fof Fundo and Hsi Logistica Fundo, you can compare the effects of market volatilities on Jbfo Fof and Hsi Logistica and check how they will diversify away market risk if combined in the same portfolio for a given time horizon. You can also utilize pair trading strategies of matching a long position in Jbfo Fof with a short position of Hsi Logistica. Check out your portfolio center. Please also check ongoing floating volatility patterns of Jbfo Fof and Hsi Logistica.

Diversification Opportunities for Jbfo Fof and Hsi Logistica

0.3

Correlation Coefficient

Jbfo Fof  Hsi Logistica

Weak diversification

The 3 months correlation between Jbfo and Hsi is 0.3. Overlapping area represents the amount of risk that can be diversified away by holding Jbfo Fof Fundo and Hsi Logistica Fundo in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Hsi Logistica Fundo and Jbfo Fof is a relative statistical measure of the degree to which these equity instruments tend to move together. The correlation coefficient measures the extent to which returns on Jbfo Fof Fundo are associated (or correlated) with Hsi Logistica. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Hsi Logistica Fundo has no effect on the direction of Jbfo Fof i.e., Jbfo Fof and Hsi Logistica go up and down completely randomly.

Pair Corralation between Jbfo Fof and Hsi Logistica

Assuming the 90 days trading horizon Jbfo Fof Fundo is expected to generate 0.01 times more return on investment than Hsi Logistica. However, Jbfo Fof Fundo is 75.0 times less risky than Hsi Logistica. It trades about 0.18 of its potential returns per unit of risk. Hsi Logistica Fundo is currently generating about -0.02 per unit of risk. If you would invest  8,193  in Jbfo Fof Fundo on April 25, 2025 and sell it today you would earn a total of  8.00  from holding Jbfo Fof Fundo or generate 0.1% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Moves Together
Strength	Very Weak
Accuracy	100.0%
Values	Daily Returns

Jbfo Fof Fundo  vs.  Hsi Logistica Fundo

Jbfo Fof Fundo

Risk-Adjusted Performance

Good

Compared to the overall equity markets, risk-adjusted returns on investments in Jbfo Fof Fundo are ranked lower than 14 (%) of all funds and portfolios of funds over the last 90 days. Despite somewhat strong technical and fundamental indicators, Jbfo Fof is not utilizing all of its potentials. The current stock price disturbance, may contribute to short-term losses for the investors.

Hsi Logistica Fundo

Risk-Adjusted Performance

Very Weak

Over the last 90 days Hsi Logistica Fundo has generated negative risk-adjusted returns adding no value to fund investors. Despite somewhat strong essential indicators, Hsi Logistica is not utilizing all of its potentials. The current stock price disturbance, may contribute to short-term losses for the investors.

Pair Trading with Jbfo Fof and Hsi Logistica

The main advantage of trading using opposite Jbfo Fof and Hsi Logistica positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Jbfo Fof position performs unexpectedly, Hsi Logistica can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Hsi Logistica will offset losses from the drop in Hsi Logistica's long position.

The idea behind Jbfo Fof Fundo and Hsi Logistica Fundo pairs trading is to make the combined position market-neutral, meaning the overall market's direction will not affect its win or loss (or potential downside or upside). This can be achieved by designing a pairs trade with two highly correlated stocks or equities that operate in a similar space or sector, making it possible to obtain profits through simple and relatively low-risk investment.

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Note that this page's information should be used as a complementary analysis to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try the Technical Analysis module to check basic technical indicators and analysis based on most latest market data.